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Net Present Value Calculator

NPV = −initial investment + Σ cash flowₜ/(1+r)ᵗ.

Inputs and units

  • Initial investment (positive outflow): Enter your value in the format and unit shown.
  • Discount rate per period (%): Enter your value in the format and unit shown.
  • Net cash flows at each period end: Enter your value in the format and unit shown.

Calculation method

NPV = −initial investment + Σ cash flowₜ/(1+r)ᵗ.

Worked example

The example values are: Initial investment (positive outflow) = 10000; Discount rate per period (%) = 10; Net cash flows at each period end = 4000,4000,4000

  • NPV: -52.5920360631
  • Present value of future flows: 9,947.40796394
  • Period 1: 3,636.36363636
  • Period 2: 3,305.78512397
  • Period 3: 3,005.25920361

Assumptions and limitations

Use equal periods and a discount rate matching each period. Taxes and risk are not modeled automatically.

Using your result

Select Calculate after changing inputs. Copy result copies the displayed output; Download result saves a text file. Reset returns the form to its example inputs. Calculations run in your browser.

Net Present Value Calculator FAQs

What method does this calculator use?

NPV = −initial investment + Σ cash flowₜ/(1+r)ᵗ.

What should I check before using the result?

Use equal periods and a discount rate matching each period. Taxes and risk are not modeled automatically.